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Director Disqualifications

We ensure that you have the opportunity to state your position.

We ensure that you have your opportunity to state your position in respect of the claims being made.

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Following the liquidation of a company the Secretary of State has a period of 3 years to bring a claim against former directors of that liquidated company if they feel their actions are a danger to the public moving forward should they continue to act as a company director.

If an action of this nature is successful it would mean disqualification as a director for between 2 and 15 years and significant legal costs payable to the secretary of state.

These proceedings originate when a company’s liquidator submits an adverse report concerning a director’s conduct. This might be for a failure to maintain company records, failing to pay tax on a persistent and intentional basis or any other act that breaches how you should act as a director of a company. It is then investigated by the Insolvency Service on behalf of the Secretary of State to see whether it would be appropriate to take further action via the Courts.

It is beneficial if you have representation during the investigatory process as this will help reduce the chance of the matter being taken to Court. We represent you to seek to avoid court action altogether or if proceedings are brought to defend the claim at Court. During this process we also consider and advise on the giving of an undertaking to not act as a director for a period of time. This may be advised if the case against you is particularly strong but with our negotiation skills the periods are usually reduced.

We ensure that you have your opportunity to state your position in respect of the claims being made and advise you on the practical realities if you need to stop acting as a director.

If you would like further information in respect of this specialism please call our offices on 0113 266 0735.

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“Thank you for your professional and competent management of the work recently completed.”

Client | Director Disqualifications & Re-use of a Prohibited Company Name

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